Canadian Soybean Supplies Projected to Increase for 2022-23 Season

Mumbai, April 22 (Commoditiescontrol):The Canadian soybean supply for 2022-23 is expected to increase to 7.2 Mt due to higher production, carry-in, and stable imports. The planted area decreased slightly to 2.13 Mha, but the harvested area and production increased to 2.12 Mha and 6.5 Mt, respectively. As a result, exports are forecast to rise by 3% to 4.4 Mt, with shipments to various countries, and domestic processing is predicted to increase slightly to 1.9 Mt. The US Department of Agriculture (USDA) tightened its estimate for global oilseed production, but it is still 16 Mt higher than last year. The forecast for Canadian soybean prices is expected to rise to $710/t due to the weaker Canadian dollar.

For 2023-24, the soybean planted area in Canada is projected to increase by 7% to 2.28 Mha, with an increase in harvested area and production. Total domestic use is forecast to fall slightly, while exports are predicted to rise by 0.3 Mt to 4.7 Mt. Carry-out stocks are projected to be at 0.40 Mt, with a stock-to-use ratio of 6%. The average price for soybeans is expected to fall to $660/t.

US soybean production for 2022-23 is expected to be 4.28 billion bushels (Bbu), down 4% from last year. The crush and export forecasts remain steady from March while ending stocks are predicted to fall to 0.21 Bbu. For 2023-24, the US soybean production is projected to increase to 4.50 Bbu, with a rise in supplies to 4.71 Bbu. The domestic crush is forecasted to be 2.3 Bbu and exports at about 2.1 Bbu. Ending stocks are projected to rise to 290 Mbu for a stocks-to-use ratio of 6.5%. The forecasted farm-gate price declines to US$12.90/bushel. The USDA will release its first market outlook for soybeans in the May release of the World Agricultural Supply and Demand Estimates report (WASDE).
(By Commodities Control Bureau: 09820130172)